As per MRFR analysis, the India Semiconductor IP Market Size was estimated at 420 (USD Million) in 2024. The India Semiconductor IP Market Industry is expected to grow from 487.2 (USD Million) in 2025 to 1,275 (USD Million) by 2035. The India Semiconductor IP Market CAGR (growth rate) is expected to be around 9.14% during the forecast period (2025 - 2035).
The India Semiconductor IP Market is experiencing significant growth, driven by government initiatives aimed at boosting domestic manufacturing capabilities and making the country a global semiconductor hub. Policies such as the Production-Linked Incentive (PLI) scheme are encouraging investments in semiconductor design and manufacturing, leading to an upsurge in the demand for semiconductor intellectual property (IP). This has created an environment ripe for innovation, particularly in areas like automotive electronics, IoT, and telecommunications, where the Indian market is showing considerable potential.Â
There are also ample opportunities to explore as India seeks to localize semiconductor design activities. The increasing number of start-ups focusing on semiconductor design and IP core development highlights a shift towards home-grown IP solutions. Additionally, collaborations between academia and industry, fostered by institutions and government bodies, are cultivating a talent pool that is crucial for creating customized semiconductor solutions tailored to specific market needs.Â
Recently, trends indicate a surge in interest for advanced nodes and specialized IPs, such as application-specific integrated circuits (ASICs) and system-on-chip (SoC) designs. Notably, companies are looking towards using Artificial Intelligence (AI) and machine learning to enhance chip design efficiency, pushing the envelope of what's possible in terms of chip performance and functionality.
Furthermore, with the global semiconductor supply chain's vulnerabilities, there is a stronger push for securing supply chains within India itself, making localization a priority for many companies. This market dynamic reflects a growing recognition of not just the importance of semiconductor IP but also its role in India's broader economic strategy.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The rapid increase in the demand for electronics and smart devices in India significantly contributes to the growth of the India Semiconductor IP Market Industry. As per the Ministry of Electronics and Information Technology, India's electronics manufacturing sector is projected to reach a value of 1 trillion USD by 2025. This surge supports the necessity for semiconductor intellectual property to ensure devices are crafted with advanced technology.
Important companies, like Intel and Qualcomm, are increasing their activities in India and are investing heavily to refine semiconductor technologies, thus fostering a thriving ecosystem for the development of Semiconductor Intellectual Property. The growing smartphone penetration rate, which has already exceeded 80% in urban areas, serves as the backbone for further investments in semiconductor technologies, which in turn raises demand for Intellectual Property or IP.
The Indian government has launched several initiatives, such as the Production-Linked Incentive Scheme, aimed at promoting semiconductor manufacturing within the country. According to the Department for Promotion of Industry and Internal Trade, the semiconductor manufacturing ecosystem in India is set to receive over 10 billion USD in investment over the next decade. This initiative encourages both domestic and international companies to invest in semiconductor technology, paving the way for a considerable rise in the Semiconductor IP Market Industry as it fosters local design and production capabilities.
The emphasis on Research and Development (R&D) within India's technology sector has been instrumental in driving the India Semiconductor IP Market Industry. Reports indicate that R&D investments in the Indian electronics and semiconductor sector are projected to reach 50 billion USD by 2025, according to the Electronics Sector Skills Council of India. This increasing investment is pivotal as companies like Micron Technology and STMicroelectronics have set up R&D facilities in India, allowing them to innovate and develop advanced semiconductor IPs, thereby enhancing India's position in the global semiconductor landscape.
The Application segment of the India Semiconductor IP Market represents a crucial part of the overall industry, highlighting the diverse uses and implementations of semiconductor intellectual property across various sectors. This segment has seen remarkable growth, driven by the increasing demand for semiconductor solutions in advanced technologies. In India, sectors such as Automotive, Consumer Electronics, Networking, and Industrial Automation are gaining traction, showcasing the country's emphasis on innovation and technological advancement.
The Automotive sector is particularly significant as the government pushes for electric vehicle adoption and smart transportation systems. The integration of semiconductor IP in automotive applications supports the advancement of features such as autonomous driving, enhanced safety systems, and fuel efficiency measures. This has fostered a sustainable ecosystem that aligns with India's goal for a greener future.
Consumer Electronics is another key driver in the segment, as the rising disposable income and urbanization trends lead to increased demand for smart devices. The proliferation of Internet of Things (IoT) devices in households drives innovation in semiconductor IP, enhancing functionalities like connectivity, artificial intelligence, and user experience, making this an ever-evolving field. Networking also plays an essential role, especially with the push towards digital transformation.Â
The growth of 5G technology and the resulting demand for high-performance data processing drive the need for robust semiconductor solutions that lead to advanced networking infrastructure, thus improving internet services across India. Industrial Automation is increasingly important as well, spurred by India's focus on initiatives such as 'Make in India' and the manufacturing sector's need for automation solutions. The integration of semiconductor IP within industrial systems allows companies to increase efficiency, reduce operational costs, and ensure better resource management, hence playing a pivotal role in enhancing India's manufacturing capabilities.
Overall, the Application segment of the India Semiconductor IP Market not only reflects technological advancements but also aligns closely with national objectives, thereby fostering significant growth across various industries.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The India Semiconductor IP Market is extensively categorized by Type, reflecting the diverse applications and technological advancements in the industry. Notably, Microprocessors and Digital Signal Processors (DSPs) are pivotal components within this segment. Microprocessors serve as the backbone for computing devices, playing an essential role in enabling complex calculations and operations that drive the digital economy in India. With the increasing demand for smart devices, automation, and the Internet of Things (IoT), the importance of robust Microprocessors continues to grow.
On the other hand, Digital Signal Processors are critical in applications involving audio, video, and communication, contributing significantly to advancements in multimedia technology and telecommunications. As India pushes for digital transformation and enhanced connectivity through initiatives like 'Make in India,' the demand for high-performance DSPs is expected to rise. This growth is further supported by the emphasis on Research and Development in the Indian semiconductor sector, driving innovation and creating opportunities for domestic and global players alike.
The market is witnessing a shift towards more integrated and efficient designs, positioning both Microprocessors and DSPs as essential drivers in the evolving landscape of the India Semiconductor IP Market.
The India Semiconductor IP Market has been witnessing significant growth, driven by the increasing demand for advanced technology solutions across various sectors such as consumer electronics, automotive, and telecommunications. The landscape is marked by a diverse array of players ranging from established global firms to emerging local companies, each striving to enhance their offerings and capture market share. The competitive insights highlight the importance of innovation, strategic partnerships, and the ability to provide tailored solutions to meet the specific needs of Indian customers. Advances in technologies such as artificial intelligence and the Internet of Things are further fueling the demand for semiconductor IPs, creating a dynamic environment where companies must continually adapt and evolve to maintain their competitive edge.
Texas Instruments has established a formidable presence in the India Semiconductor IP Market through its extensive portfolio of analog and embedded processing products. The company's strengths lie in its strong brand reputation and long-standing relationships with key customers in the region. By investing in local design and development teams, Texas Instruments has been able to create solutions that are perfectly aligned with the needs of India’s burgeoning electronics manufacturing sector. The firm’s ability to integrate cutting-edge technologies into its semiconductor IPs allows it to remain competitive and responsive to the evolving landscape. Furthermore, Texas Instruments benefits from a robust supply chain and distribution network that enhances its reach and service capabilities within the Indian market.
STMicroelectronics has effectively positioned itself in the India Semiconductor IP Market by leveraging its wide range of innovative products and services, catering to sectors such as automotive, industrial, and consumer electronics. The company’s strengths include its advanced technology offerings in microcontrollers, power management, and analog devices, which are designed to meet the specific demands of Indian manufacturers. STMicroelectronics has also been active in establishing strategic partnerships and collaborations with local firms, enhancing its market presence and fostering innovation.Â
In recent years, STMicroelectronics has pursued mergers and acquisitions to bolster its capabilities and expand its product offerings in India, ultimately aiming to enhance its competitiveness in the semiconductor IP space. With an emphasis on sustainability and smart technology integration, STMicroelectronics is well-positioned to capitalize on the growing opportunities in the Indian semiconductor landscape.
The India Semiconductor IP Market has witnessed significant developments, particularly with companies like Texas Instruments, STMicroelectronics, Intel, and Qualcomm expanding their operations. In September 2023, Texas Instruments announced a strategic investment in a new manufacturing facility in India to enhance its semiconductor production capabilities.Â
Additionally, in August 2023, Intel unveiled plans to collaborate with Indian start-ups for semiconductor design, contributing to the local ecosystem's growth.The market valuation for semiconductor firms has notably increased, with this growth propelled by the government’s initiatives to boost local manufacturing and attract foreign investment through the Semiconductor Mission launched in December 2021. In terms of mergers and acquisitions, in July 2023, Synopsys acquired a software design company with strong roots in India, further solidifying its footprint in the region.Â
Moreover, Broadcom and NXP Semiconductors have also shown interest in scaling their operations within India. The rise of the Internet of Things and increased demand for consumer electronics have been pivotal in shaping the semiconductor landscape, turning India into a burgeoning hub for semiconductor IP development. The country is poised for a promising trajectory as it aligns itself with global trends and enhances its technology capabilities.
| Report Attribute/Metric | Details |
| Market Size 2024 | 420.0(USD Million) |
| Market Size 2025 | 487.2(USD Million) |
| Market Size 2035 | 1275.0(USD Million) |
| Compound Annual Growth Rate (CAGR) | 9.14% (2025 - 2035) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2024 |
| Market Forecast Period | 2025 - 2035 |
| Historical Data | 2019 - 2024 |
| Market Forecast Units | USD Million |
| Key Companies Profiled | Texas Instruments, STMicroelectronics, Intel, Renesas Electronics, Analog Devices, Broadcom, ARM, Wind River, Imagination Technologies, Qualcomm, Xilinx, Synopsys, NXP Semiconductors, Microchip Technology, Cadence Design Systems |
| Segments Covered | Application, Type |
| Key Market Opportunities | Growing demand for customized solutions, Increased investment in R&D infrastructure, Expansion of AI and IoT applications, Government initiatives for semiconductor self-reliance, Rise of fabless semiconductor companies |
| Key Market Dynamics | Rising demand for advanced technologies, Government initiatives for local manufacturing, Increasing focus on IoT solutions, Growth in automotive electronics, Need for design optimization tools |
| Countries Covered | India |
Frequently Asked Questions (FAQ):
The India Semiconductor IP Market was expected to be valued at 487.2 million USD in 2024.
The market is expected to grow at a CAGR of 9.14% from 2025 to 2035.
By 2035, the India Semiconductor IP Market is expected to reach a valuation of 1275.0 million USD.
The Consumer Electronics segment is expected to have the largest market value at 480.0 million USD in 2035.
The Automotive segment is projected to be valued at 400.0 million USD in 2035.
The Networking application segment was expected to be valued at 90.0 million USD in 2024.
Key players in the market include Texas Instruments, Intel, and others, though specific market share figures are not stated.
The Industrial Automation sector is expected to reach a market value of 155.0 million USD in 2035.
The Consumer Electronics segment is expected to grow from 180.0 million USD in 2024 to 480.0 million USD by 2035.
Challenges impacting the market may include supply chain disruptions and evolving technology requirements.
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Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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